difference between occupancy and utilization

To give this some context, that equates to around 2,500 miles of driving, about the distance from Boston, Massachusetts to Salt Lake City, Utah. Download the article as a PDF. WebHospital utilization: An analysis of SMSA differences in occupancy rates, admission rates, and bed rates. This is also referred to as productive time. Once they determine which Key Performance Indicators (KPIs) are most relevant to their goals, they can start measuring and eventually improving them. It measures the percentage of space that is actively utilized compared to the total available space. Industry analyst review of Relogixs Workplace Analytics Solution, Inaugural Report Uncovers Critical Shifts in Global Workspace Occupancy as Hybrid Work Takes Hold, Simone Fenton-Jarvis, Workplace Consultancy Director. The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network. Occupancy, or the number of occupied spaces, is a point-in-time measurement. It is the inverse of shrinkage.Shrinkage is the percentage of paid time that employees are not available to handle contacts. Occupancy vs Utilization. One fact that we find mysterious about Occupancy Rate is that its often incorrectly referred to as Utilization Rate. MichaelJBerlin - Adobe Stock - 61894234. Collecting data is great, but it only gets the office so far. With so many factors in the works and so many different ways of capturing data, its key that organisations make decisions based on the right data. Here we have jotted down the key differences between Space Utilization and Space Occupancy: Space utilization primarily employs quantitative metrics such as utilization rates, productivity ratios, or floor area ratios. Peak occupancy refers to the maximum number of occupants in a space during a specific time period. Your security badging data shows 90 people attended on Monday, giving a building occupancy of 90%. But before considering the location and the physical space, we have to consider culture, processes, and technology. It helps identify underutilized spaces that could be repurposed or reallocated for more productive use. A high space utilization rate indicates optimal space usage and signifies an efficiently managed facility. While occupancy is typically thought of as the measure of occupants at a given time, it may also be used to describe how many workspaces are occupied. Say your security team opens the building at 7 AM and closes it at 7 PM (12 hours). However, it is slightly more complicated than that, and can be broken down into many other metrics! Every data source comes with its own issues. People counter sensors will determine at what point spaces have had signs of life and by how many people, so are best used in open collaboration spaces and meeting rooms. Often, this means a static number of the amount of people in desks at a certain point in time. To help understand the difference between the four basic types of Occupancy, see the types of occupancy in offices worked example. A conference room is booked for 4 hours a day and is available for use for 12 hours a day. Our mission is to turn data into valuable outcomes. Occupancy differs from utilization, in that occupancy considers only live logged in time, but utilization considers total time at work (including logged out time such as training). The period of time during which someone rents or otherwise occupies certain land or premises. Measuring occupancy vs utilization has always been one of the main responsibilities of facilities managers and space planners. And considering the CRE sector is estimated to consume 40% of global energy annually, accounting for a third of international carbon emissionsHouston, we have a problem. Of course, call center management is quite different from facility management. Occupancy sensors can be installed discreetly in various locations, such as ceilings, walls or doorways. Presence data uses a variety of data points from a variety of sources. These sensors can detect movement, heat or infrared signals and provide real-time data on how many people are present in a given area. Now you've got a better understanding of office space utilization, as well as the role of space management software in optimizing your workplace! Its about using those metrics to ask (and answer) better questions, experiment with new options, and map out a better path for the future. By calculating the ratio of occupied space to the total space, organizations can assess the effectiveness of their space allocation strategies. So, space utilization would be 25%. Occupancy Rate is the percentage of time agents spend handling customer inquiries versus time spent waiting for calls, sometimes called idle time. Karina Wright May 10th, 2023 Occupancy vs utilization: both essential metrics for space planning, especially in a hybrid office. In an office, a particular meeting room was occupied for 6 hours out of the 9 hours of a workday, so space occupancy would be 66.67%. Once were clear on this, we can better determine what technology we need to capture these metrics and make great workplace planning decisions. TheOccupancyof a neighborhood reflects the situation in at a given moment in time. When talking about space utilization data, people often focus on relating the observed number of people in a space to the available capacity. Occupancy is the percentage of an agents logged-in time that is spent on contact-related activity. WebOccupancy and Utilization: Why Are They Important For a Facilities Manager? Productivity Productivity is the percentage of an agent's paid time that is productive time. Choose the content that you want to receive. There are numerous software solutions and applications available that offer comprehensive space utilization and occupancy tracking. Of course, there are many ways to define the two metrics. These cookies do not store any personal information. We also use third-party cookies that help us analyze and understand how you use this website. Next-generation space management built for the new world of work. Call center utilization relates to the time spent working compared to the total working hours Different businesses and call centers have various optimal figures for occupancy and utilization. Occupancy represents the people within a workplace; utilization represents their interaction with those surroundings. Occupancy sensors can be installed discreetly in various locations, such as ceilings, walls or doorways. Should Customer Service Leaders Fear ChatGPT? Occupancy in a call center signals the amount of time a representative or agent spends logged in and actively engaged in call-related activities. So, if your contact center has occupancy of 75%, it means that its agents are spending three-quarters of their logged-in time doing contact-related activities.According to COPC, it is calculated using this formula: (total talk time + total hold time + total after-call work i.e. This metric provides a basic understanding of space utilization and helps identify underutilized or overcrowded areas. What does space utilization have to do with the planet? Once you have that, then you can start to figure out how to test and measure things that impact it, positively or negatively. Enter two words to compare and contrast their definitions, origins, and synonyms to better understand how those words are related. WebWhen measuring occupancy based on Capacity, this involves counting the actual number of people present. By tracking energy consumption in relation to the occupied square footage, organizations can identify spaces that consume excessive energy or areas that are underutilized and can be consolidated to reduce energy waste. Space occupancy analysis, on the other hand, focuses on factors such as workstation utilization, collaboration spaces and meeting room occupancy to ensure adequate seating capacity and foster employee productivity. The extent to which a physical space is occupied at a given point in time. How did people intend to behave in these spaces? Employees reserve desks or meeting rooms based on their needs, providing valuable data on space usage. What Is Workforce Management? So, if you want to level up your workspace analytics, you can look into specialized software products. While space occupancy is important for workplace leaders to gain an idea of the number of people within a workplace, it doesn't fully demonstrate whether the use of your office space is fully optimized. Space occupancy, however, focuses on the physical presence of individuals, often considering factors like comfort, safety, accessibility and user experience. Here, occupancy rates refer to how many rooms are currently booked. [ Google Scholar ] Occupancy rate (also known as percent occupancy or space occupancy rate) is a static snapshot of office use. This is also referred to as productive time. Occupancy rates on their own may no longer provide enough detail in a world where office use fluctuates. Often it is displayed as a % rate, in relation to the capacity of the space. 1976 Summer; 3 :32678. Occupancy rates will tell you how many people are in a spacethe ABCs of workplace management. Occupancy rate measures the percentage of available units or spaces currently being leased or rented. provides a basic understanding of space utilization and helps identify underutilized or overcrowded areas. Simple headcount planning wont work in a flexible work environment. Occupancy in a call center signals the amount of time a representative or agent spends logged in and actively engaged in call-related activities. [ Google Scholar ] When measuring individual spaces for occupancy and utilization, make sure you communicate effectively with your employees about the purpose of the sensor, what data its collecting, and how. WebOne major difference between occupancy and utilization in call centers is that occupancy only considers the time agents are active on the floor, while utilization includes total work time.

Utilization is deceptively similar to occupancy but has some subtle but important differences. WebOne major difference between occupancy and utilization in call centers is that occupancy only considers the time agents are active on the floor, while utilization includes total work time. The best way to collect space occupancy data is with occupancy sensors. While these terms are often used interchangeably, their meanings differ significantly. Facilities Management Isnt Really About Facilities, Space Occupancy and Space Utilization: 4 Key Data Points, Dealing with Complexity in Data Collection: How Conexus Can Simplify It All, CRE sector is estimated to consume 40% of global energy annually, unused desk in an office is, on average, contributing one tonne of unnecessary CO. How many people are attending the physical workspace each day? It is the percentage of paid time that is spent on any productive activity.It can be expressed as (total talk time + total hold time + total ACW + time spent on other productive activities) / paid hours. occupied square footage/total workspace square footage =space occupancy rateExample. WebAs nouns the difference between utilisation and occupancy is that utilisation is the act of using something while occupancy is the act of occupying, the state of being occupied or the state of being an occupant or tenant. A high space utilization rate indicates optimal space usage and signifies an efficiently managed facility. The formula for space utilization = occupancy / capacity. But opting out of some of these cookies may have an effect on your browsing experience. The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes. Unveiling the Secrets of Space Utilization and Occupancy Tracking. This is including after-call work, or ACW. However, they should define, measure, manage and report both metrics, as well as understand their differences. if you are aiming for 83% occupancy, you should inflate your staffing requirement by 1/(0.83)-1 = 20%. As such, it has historically been the focus of traditional office settings, which themselves tend to be more static. So whats the difference between these two essential metrics: occupancy vs utilization? Photos: g-stockstudio, EXTREME-PHOTOGRAPHER, skynesher, NoSystem images, Koh Sze Kiat. This approach helps in minimizing wasted resources and avoiding unnecessary expansion or construction costs. This is usually broken down into floor level data. Old benchmarks and industry benchmarks dont apply like they used to. https://560643.fs1.hubspotusercontent-na1.net/hubfs/560643/injixo%20-%20Blog/posts/occupancy_angry_bored_jixo.png, forecasting-occupancy-utilization-productivity-whats-the-difference,

These familiar metrics are critical to managing every contact center. Originally published on Aug 17, 2022, updated on Jan 11, 2023. Click here to learn more about how we can help you!Want to read more about how to calculate how much office space you really need? Exploration in Econ Res. The Secret to Managing an Office Well Lets talk about two crucial workplace metrics office space occupancy and utilization. The best way to see this data is with your security badging system. hybrid workplace that works for everyone. And its quickly emerging to illustrate how space is being used in a dynamic workspace. That's about a 30% utilization rate. How do you get a good handle on your space occupancy then? If you occupy 18,000 square feet of space out of an available 25,000 square feet of office space, your space occupancy rate is 72%. And while people may use these terms interchangeably, they are definitely not the same thing. In fact, occupancy and utilization might seem interchangeable. Space utilization and occupancy tracking have become vital aspects of effective space management. Lets examine them one by one.

In the workplace, it is represented by the total number of employees physically present during a specific time., This is important forcapacity management; you want to know that your office space isn't getting too crowded, or, too empty.. Occupancy, utilization, productivity: whats the difference? I'm the Product Manager for HubStar's Smart Building tool suite helping companies worldwide to make data-driven decisions about utilizing their building portfolios. Efficiently managed spaces contribute to a positive workplace experience for employees and visitors alike. Call center utilization relates to the time spent working compared to the total working hours Different businesses and call centers have various optimal figures for occupancy and utilization. Contact centers will typically track both metrics carefully to prevent agent burnout and improve operations. Meeting room systems can also help you take a look at Outlook or Google Calendar meetings booked across your organization, and see analytics behind it. But with budgets tightening across the board, and real estate leases quickly coming due, many companies are now looking for options that are less expensive and/or quicker to implement. In this article, we're going to cover exactly what space occupancy and space utilization are, and the roles they play (both individually and together) in making more efficient and agile decisions for your workplace., In general, occupancy refers to the measure of individuals in a space. Skip to content Download our Report: Navigating the World of Hybrid Work: A Benchmark Study in Global Workspace Usage. Shrinkage is the percentage of paid time that employees are not available to handle contacts. They can be helpful in comparing production levels to manufacturing capacities. Space utilization and space occupancy are two related but distinct concepts in facility management. Difference between occupancy and utilization. Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. How can a facilities manager use them effectively? And its vital to take them into account properly within the workforce management process. Optimize your office space for $5,000 or less with Utilization Studies! Data-driven decision-making must underpin thisit can inform cleaning schedules, catering, and provide resources to inform the design of spaces. All Rights Reserved. From the first day of searching for a suitable space for your business, occupancy is always important. This is why 90% of companies collect utilization data today. Density is a metric that measures the number of occupants per unit area of space. Occupancy is certainly a more day-to-day application of space management for many businesses, if not always by choice. Web 16,005 Filed under - Workforce Planning, injixo, Occupancy, Workforce Management (WFM) We answer four of the most common questions that our readers put to us, all regarding the topic of contact centre workforce management (WFM). Web 16,005 Filed under - Workforce Planning, injixo, Occupancy, Workforce Management (WFM) We answer four of the most common questions that our readers put to us, all regarding the topic of contact centre workforce management (WFM). However, you might find out that there are bottlenecks if you break down occupancy rates by hourly increments. 1 Worldwide Growth Leader, Vonage Adds New Features and Capabilities, Top 50 Positive Words and Phrases With Examples, The Top 50 Words to Describe Yourself on Your CV. And while people may use these terms interchangeably, they are definitely not the same thing. Motion sensors, such as those that operate together with lighting, can also give you time stamps on when a space is used.. It assesses the ratio of occupied storage space to the total available storage capacity. Improve utilization and efficiency of patient rooms or office spaces with precise occupancy data that empowers decision-making and consensus building. WebOccupancy and Utilization: Why Are They Important For a Facilities Manager? It shows the ratio of agents productivity to their capacity. Using Conexus, Facilities Managers will have access to a single pane of glass to inform and enable data-driven decision-making that will impact the employee experience. There are far- and wide-reaching impacts, much further and wider than many probably imagine. Longer answer Theyre going to start to build more robust presence data that will illustrate how, when, and where people are using the office. A space management platform simplifies all of the above processes by integrating with your data collecting systems. Occupancy sensors determine at what point spaces have had signs of life. Youll be able to take into account multiple data sources to understand peoples desires and intentions, how they actually behave, and how this translates into business efficiency and impact on the planet. But only when its combined with occupancy will you have a true indicator of how you could improve your building operations. On the other hand, space occupancy relies on qualitative metrics, such as headcounts, footfall analysis, or seating occupancy, providing insights into the actual presence of individuals within a space. What Is the Difference Between Occupancy and Utilisation? Products For Business QUBIC HARDWARE + SOFTWARE When it comes to the employee experience, a physical space can and should enable great work. WebOccupancy differs from utilization, in that occupancy considers only live logged in time, but utilization considers total time at work (including logged out time such as training). It measures the utilization rate of desks or workstations compared to the total number of desks available. Understanding the data within our spaces is crucial. If your office size is about 2400sqf, your space occupancy is about 67%. Meanwhile, utilization focuses on the ratio of their overall productivity to their capacity. Get the latest exciting call centre reports, specialist whitepapers and interesting case-studies. To put this utilization data to good use, one of the first goals should be to flatten the gap between peak and average workday utilization. No one wants to work in a crowded office. It includes the following: Time spent talking on the phone with customers/clients Time spent on hold Now, we will explore the methods and tools used to track space utilization & occupancy and discuss the benefits. Conexus helps you break down data silos, discover opportunities, and empower your decision-making process. This is a form of Headcount, and is also often called a Census. Well also explore why presence data is now the metric of choice for modern FMs. To validate the data at a building or floor level, aggregate data sources such as security badging system data. At Relogix, we offer flexible plans to fit your needs. Occupancy, or the number of occupied spaces, is a point-in-time measurement. Space utilization emphasizes optimizing spatial resources and achieving maximum efficiency in terms of functionality, productivity, and resource allocation. This is a form of Headcount, and is also often called a Census. It measures the extent to which available space is employed efficiently, taking into account factors such as layout design, room configuration, equipment placement and overall functionality. It is mandatory to procure user consent prior to running these cookies on your website. But since wasting space is wasting money, companies still need to keep their occupancy rates optimized as part of their overall real estate portfolio management strategy. One fact that we find mysterious about Occupancy Rate is that its often incorrectly referred to as Utilization Rate.

Occupancy

CIBSE reports that each unused desk in an office is, on average, contributing one tonne of unnecessary CO2 every year. (E.g. Relogix Utilization Studies provide you with objective data that helps you make informed decisions about office space needs, identify areas for cost savings, and optimize real estate portfolios for maximum efficiency and productivity. The Utilization of a neighborhood consists of a set of occupancy observations aggregated over a longer timeframe, such as a week or 90 days. | Relogix What is occupancy & utilization? And to understand, we must start by collating data. We use a long list of terms and concepts that may have multiple, or even conflicting, definitions. They can do this by combining multiple types of workplace metrics to create actionable presence-based utilization data. This is where space utilization comes in. WebHenriette Potgieter, a call centre best practice management consultant at QBIC Solutions, tells us: Occupancy differs from utilisation in that occupancy considers only live logged-in time, but utilisation considers total time at work (including logged-out time such as training). By monitoring occupancy rates over time, organizations can assess the effectiveness of space allocation strategies and make adjustments accordingly. Here are a couple of space utilization metrics: These (and a few other) metrics apply to different aspects of space optimization so you get to pick and choose which ones to apply depending on the situation.. Lets examine them one by one. Daily and average peak utilization; Peak frequency; How is occupancy different? Weve got agile, flexible, activity-based, smart working, and thanks to the global pandemic, were all talking about hybrid. Commonly used space utilization metrics: Space Utilization Rate: Shrinkage is the percentage of paid time that employees are not available to handle contacts. Space utilization (and, specifically, workplace utilization), is about how space is being used over time. (Plus Tips) Indeed Editorial Team Updated June 24, 2022 Utilization and efficiency are two performance indicators that manufacturing companies use to make plans and determine success. Now, we will make the differences between space utilization and space occupancy clearer from a practical standpoint. Skip to content Download our Report: Navigating the World of Hybrid Work: A Benchmark Study in Global Workspace Usage. This metric helps organizations identify whether they have an appropriate number of workstations and whether they are effectively utilized. WebWhat is Space Occupancy and Utilization? The number of individuals using a specific area at a given time, The number of hours in a day certain spaces are booked or occupied, The number of hours in a day certain spaces are available for use. Commonly used space utilization metrics: Space Utilization Rate: Meanwhile, utilization refers to how available space is being used over time. In this context, call center occupancy refers to how much available time an agent spends on calls and call-related tasks. The Occupancy of a neighborhood reflects the situation in at a given moment in time. These metrics help determine the efficiency of space usage based on predefined benchmarks. Or maybe it makes sense to hold some larger training sessions off site. It becomes the place where you can see your essential space utilization metrics, plus additional insights from summary statistics and visualizations.. You may analyze weekly if the 70 workstations are filled most of the time. if you are expecting 25% shrinkage, you should inflate your staffing requirement by 1/(1- 25%) = 33%. If you dont factor in shrinkage when calculating how many staff to schedule, you will always be understaffed. Let's imagine that at your office, you've estimated that employees are allotted 80sqf per person. If there are 34 employees in an office space that supports 50, the space utilization rate is 68%. Clipboard studies and siloed data sources are a thing of the past. WebHospital utilization: An analysis of SMSA differences in occupancy rates, admission rates, and bed rates. They can be helpful in comparing production levels to manufacturing capacities. They fight for budgets, have too many spreadsheets on the go, and manage a fast-paced and dynamic environment. Hopefully it becomes a win-win, says Carnes. Skip to content Download our Report: Navigating the World of Hybrid Work: A Benchmark Study in Global Workspace Usage. Often it is displayed as a % rate, in relation to the capacity of the space. If you are also inflating the requirement figure for occupancy (see above), the two percentages should be summed.

Since productivity is the inverse of shrinkage, 25% shrinkage equates to 75% productivity.

. Measure, predict & optimize occupancy from a single source of truth. Call Center Helper estimates that the industry average is 83%.Target occupancy should be factored into the staffing calculation. Comparing average occupancy across different spaces within a facility or between multiple locations can reveal variations in space utilization efficiency. Occupancy vs Utilization. We highly suggest not conducting this initiative by just doing visual observations sporadically and logging data manually - you should work with your information technology team for the best results. With a headcount of 20 people at the office on average, your occupied square footage is 1600sqf. WebHenriette Potgieter, a call centre best practice management consultant at QBIC Solutions, tells us: Occupancy differs from utilisation in that occupancy considers only live logged-in time, but utilisation considers total time at work (including logged-out time such as training). So whats the difference between these two essential metrics: occupancy vs utilization? Bring people together with purpose, to connect and collaborate. While occupancy is typically thought of as the measure of occupants at a given time, it may also be used to describe how many workspaces are occupied. Whether you rent or own your commercial property, office space is likely one of your businesses' largest investments. (Plus Tips) Indeed Editorial Team Updated June 24, 2022 Utilization and efficiency are two performance indicators that manufacturing companies use to make plans and determine success. Whether its a corporate office, a hospital or an educational institution, understanding how spaces are utilized and occupied can lead to enhanced efficiency, cost savings and an improved user experience. Join Andrew Millar & Sandra Panara for a webinar. If your first employee arrives at 9 AM and leaves at 6 PM (9 hours) your building has a 75% utilization rate.

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